Sharemilkers feeling the heat from banks
Financially stretched sharemilkers are still feeling the pressure from banks as the dairy industry works its way out of a downturn.
Bank satisfaction remains high among farmers except sharemilkers who remain under pressure in a survey by Federated Farmers.
In the survey of just under 1000 farmers 19 per cent of all sharemilkers - who own herds and equipment, but not land - felt they were coming under undue pressure from their bank over their mortgage. Another 13 per cent expressed dissatisfaction with their banks and 11 per cent reported poor communication.
Sharemilker dissatisfaction was higher than other farmers with 81 per cent revealing they were very satisfied or satisfied with their bank.
Seven per cent were feeling
‘‘Drought, tough market conditions, and Brexit have added more uncertainty to the sheep industry.’’
dissatisfied or very dissatisfied..
The 77 per cent of farmers who rated their bank’s communication as excellent or good was down slightly from August and 7 per cent believed it had been poor.
Federated Farmers president Dr William Rolleston said ‘‘Drought, tough market conditions, and Brexit have added more uncertainty to the sheep industry’’ and farm gate lamb prices had been affected by a persistent strong New Zealand dollar.